Gylin, Maria, and Carla decided to liquidate their partnership on November 30, 2016. Their capital balances and profit and loss ratio are as follows: Capitals Gylin P800,000 Maria 960,000 Carla 320,000 P&L Ratio Gylin 40% Maria 30% Carla 30% The net income from January 1, 2016 to November 30, 2016 is P704,000. On November 30, 2016, the cash balance is P640,000, and that of liabilities is P1,440,000. Gylin is to receive P883,200 in the settlement of her interest. Required: Choose the correct answer with solution. 1.Calculate: (1) The loss on realization, and (2) the amount to be realized from the sale of non-cash assets? a(1) P496,000; (2) P3,088,000 b. (1) P248,000; (2) P5,100,000 c. (1) P620,000; (2) P3,860,000 d. (1) P552,000; (2) P3,860 ,000
Gylin, Maria, and Carla decided to liquidate their partnership on November 30, 2016. Their capital balances and profit and loss ratio are as follows: Capitals Gylin P800,000 Maria 960,000 Carla 320,000 P&L Ratio Gylin 40% Maria 30% Carla 30% The net income from January 1, 2016 to November 30, 2016 is P704,000. On November 30, 2016, the cash balance is P640,000, and that of liabilities is P1,440,000. Gylin is to receive P883,200 in the settlement of her interest. Required: Choose the correct answer with solution. 1.Calculate: (1) The loss on realization, and (2) the amount to be realized from the sale of non-cash assets? a(1) P496,000; (2) P3,088,000 b. (1) P248,000; (2) P5,100,000 c. (1) P620,000; (2) P3,860,000 d. (1) P552,000; (2) P3,860 ,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Gylin, Maria, and Carla decided to liquidate their partnership on November 30, 2016. Their capital balances and profit and loss ratio are as follows:
Capitals
Gylin P800,000
Maria 960,000
Carla 320,000
P&L Ratio
Gylin 40%
Maria 30%
Carla 30%
The net income from January 1, 2016 to November 30, 2016 is P704,000. On November 30, 2016, the cash balance is P640,000, and that of liabilities is P1,440,000.
Gylin is to receive P883,200 in the settlement of her interest.
Required:
Choose the correct answer with solution.
1.Calculate: (1) The loss on realization, and (2) the amount to be realized from the sale of non-cash assets?
a(1) P496,000; (2) P3,088,000
b. (1) P248,000; (2) P5,100,000
c. (1) P620,000; (2) P3,860,000
d. (1) P552,000; (2) P3,860 ,000
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